The Colorado Division of Insurance will continue its market conduct exam of Anthem Blue Cross and Blue Shield, also known as Rocky Mountain Hospital and Medical Service.
The division begin its investigation in March after complaints that Anthem’s latest rate increases – which went as high as 25 percent – were too high.
No deadline is set to finish the review.
The insurance division is expanding its review based on state law that allows them to check other parts of a company’s finances, said Marcy Morrison, commissioner.
“We have more authority to be sure increases are justified, even if the rates have been previously approved,” she said. “in fact, we have a duty to do so.”
Anthem, despite national scrutiny of its rate increases, is not being singled out. It is, however, the first insurance company in the state to undergo an extended exam.
“Other companies should be aware that a thorough financial analysis may occur in future market conduct exams,” Morrison said.
Insurance examiners would not specify how long the review will be. Colorado law allows carriers 10 days to respond to each new request for information.
Anthem can still use its filed rates during the exam. Carriers can implement new rates, with the understanding they might have to correct any deficiencies found by the insurance division.